While the adoption of biometric has been focused on the government sector, market dynamics are shifting, as these technologies find increasing use in consumer electronic (CE) products. In other words, with the rising number of CE products featuring biometric sensors, it becomes as a huge opportunity. According to an article in Grand View Research, the Global Consumer Electronic Biometrics Market is expected to grow by 12% over the next five years. Meanwhile part of the growth is expected to be due to the fact that people are increasingly using consumer devices to access very secure data, such as data regarding their bank account. Therefore, this leads to a high demand for biometric usage, in which the technology has proven to be much more convenient and less time-consuming than passwords. In other words, the combination of biometric and CE devices such as mobile phone, PCs, laptops, car locking systems, gaming consoles and TV remote is winning in the mass market, allowing the technology to become much more widely accepted in the future.
According to Gartner Research, by 2016, at least 30% companies from all over the world will use biometrics on CE products. In details, these devices will be equipped with fingerprints or facial recognition, however, it still have some disadvantages. For example, finger scanning can sometimes be frustrating if your screen or hands are dirty, hence you might find yourself reverting to using your password. Therefore in Biometrics for consumer electronics research, Frost & Sullian predicted that iris recognition and multimodal biometrics will rapidly grow in the next three years due to their accuracy.
To date, more and more companies in the word trust biometric technology and apply it directly to their products. Here are some of the major technologies and market trends in this segment. Firstly, biometrics is expanding to the retail and consumer market to address some current problems with PIN and password authentication. For years, the passwords are used to secure authentication, but now they are losing the market due to some drawbacks as easier to hack and harder to remember. Therefore, companies need to find new alternatives to solve these dilemmas. Here, Companies like Microsoft and Intel are implementing biometric authentication systems as SSO into their future products to protect user credentials. Secondly, CE manufacturers are turning to biometrics to authenticate device access, instead of using only password. One of the key players in this industry is Apple, who has started integrating fingerprint readers into its wildly popular series of Apple mobile devices, including the iPad, iPod and Nano. Here, Apple allowed customer to use fingerprint to unlock the devices by sliding a finger across the screen. In other words, the success of Apple has kick-started the biometric in CE and Samsung has also filed for biometric patents, indicating the company’s interest in incorporating biometric scanning into its devices.
However, while these trends above show signs of slowing any time soon, some suggest that secure mobile payments is rapidly evolving and has enormous potential. According to Lewissilkin, mobile payment is a fast emerging market that is expected to grow over the next few years, with some analysts estimating that the global value of transactions will exceed $600 billion by 2016. In details, biometric solutions will be deployed for multiple payment use cases, including leveraging smartphones for POS purchases and using biometrics as a second form of authentication at ATMs. Therefore by implementing biometrics technology, the risk and inconvenience of using passwords and PINs can be reduced. Moreover, the demand of European customers to see biometric payments emerge as payment technology alternatives is very high (49%). Realizing these changes of market, many banks have already adopted biometrics for their mobile banking apps. For example: South Africa’s Investec bank has implemented biometric security on their mobile banking app or First Internet Bank is planning to integrate biometric authentication into their mobile banking app. Regards of the regions, Western European markets currently has slow adoption of biometrics for mobile payment security. However, this growth is predicted to continue beyond biometric authentication for payments on Apple and Samsung devices.